D.R. Horton, Inc., America’s Builder, Reports Fiscal 2024 Third Quarter Earnings and Declares Quarterly Dividend of $0.30 Per Share
Fiscal 2024 Third Quarter Highlights - comparisons to the prior year quarter
-
Earnings per diluted share increased 5% to
$4.10 on net income of$1.4 billion -
Consolidated pre-tax income increased 1% to
$1.8 billion , with a pre-tax profit margin of 18.1% -
Consolidated revenues increased 2% to
$10.0 billion -
Homes closed increased 5% to 24,155 homes and 6% in value to
$9.2 billion -
Net sales orders increased 1% to 23,001 homes and were flat in value at
$8.7 billion -
Rental operations pre-tax income of
$64.2 million on$413.7 million of revenues from sales of 790 single-family rental homes and 610 multi-family rental units -
Repurchased 3.0 million shares of common stock for
$441.4 million and paid cash dividends of$98.5 million -
New share repurchase authorization of
$4.0 billion
Consolidated revenues in the third quarter of fiscal 2024 increased 2% to
The Company's return on equity (ROE) was 21.5% for the trailing twelve months ended
During the nine months ended
“We are well-positioned with our affordable product offerings and flexible lot supply, and we are focused on maximizing returns in each of our communities. We expect to generate increasing levels of consolidated operating cash flows, and our strong liquidity and low leverage provide us with significant financial flexibility. We are maintaining our disciplined approach to capital allocation to enhance the long-term value of our company, including consistent and increasing capital returns to our shareholders through share repurchases and dividends. Based on our strong financial position and expectation for increased cash flows, our Board of Directors recently approved a new share repurchase authorization totaling
“We continue to mourn the recent passing of our Founder,
Homebuilding Operations
Homebuilding revenue for the third quarter of fiscal 2024 increased 6% to
Homebuilding pre-tax income in the third quarter of fiscal 2024 increased 7% to
During the nine months ended
Net sales orders for the third quarter ended
At
Rental Operations
The Company's rental operations generated
During the third quarter of fiscal 2024, the Company sold 790 single-family rental homes for
During the third quarter of fiscal 2024, the Company sold 610 multi-family rental units for
Forestar
For the third quarter ended
Financial Services
For the third quarter ended
Dividends
During the third quarter of fiscal 2024, the Company paid cash dividends of
Share Repurchases
The Company repurchased 3.0 million shares of common stock for
Guidance
Based on current market conditions and the Company’s results for the first nine months of the year,
-
Consolidated revenues of approximately
$36.8 billion to$37.2 billion - Homes closed by homebuilding operations of 90,000 homes to 90,500 homes
-
Share repurchases of approximately
$1.8 billion
The Company reiterates its fiscal 2024 guidance for cash flow provided by homebuilding operations of approximately
The Company plans to also provide guidance for its fourth quarter of fiscal 2024 on its conference call today.
Conference Call and Webcast Details
The Company will host a conference call today (
About
Forward-Looking Statements
Portions of this document may constitute “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Although
Factors that may cause the actual results to be materially different from the future results expressed by the forward-looking statements include, but are not limited to: the cyclical nature of the homebuilding, rental and lot development industries and changes in economic, real estate or other conditions; adverse developments affecting the capital markets and financial institutions, which could limit our ability to access capital and increase our cost of capital and impact our liquidity and capital resources; reductions in the availability of mortgage financing provided by government agencies, changes in government financing programs, a decrease in our ability to sell mortgage loans on attractive terms or an increase in mortgage interest rates; the risks associated with our land, lot and rental inventory; our ability to effect our growth strategies, acquisitions, investments or other strategic initiatives successfully; the impact of an inflationary, deflationary or higher interest rate environment; supply shortages and other risks of acquiring land, building materials and skilled labor and obtaining regulatory approvals; the effects of public health issues such as a major epidemic or pandemic on the economy and our businesses; the effects of weather conditions and natural disasters on our business and financial results; home warranty and construction defect claims; the effects of health and safety incidents; reductions in the availability of performance bonds; increases in the costs of owning a home; the effects of information technology failures, data security breaches, and the failure to satisfy privacy and data protection laws and regulations; the effects of governmental regulations and environmental matters on our homebuilding and land development operations; the effects of governmental regulations on our financial services operations; competitive conditions within the industries in which we operate; our ability to manage and service our debt and comply with related debt covenants, restrictions and limitations; the effects of negative publicity; the effects of the loss of key personnel; and actions by activist stockholders. Additional information about issues that could lead to material changes in performance is contained in D.R. Horton’s annual report on Form 10-K and its most recent quarterly report on Form-10-Q, both of which are filed with the
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CONSOLIDATED BALANCE SHEETS |
|||||||
(UNAUDITED) |
|||||||
|
|
|
|
||||
|
(In millions) |
||||||
ASSETS |
|
|
|
||||
Cash and cash equivalents |
$ |
2,992.3 |
|
|
$ |
3,873.6 |
|
Restricted cash |
|
27.7 |
|
|
|
26.5 |
|
Total cash, cash equivalents and restricted cash |
|
3,020.0 |
|
|
|
3,900.1 |
|
Inventories: |
|
|
|
||||
Construction in progress and finished homes |
|
9,880.5 |
|
|
|
9,001.4 |
|
Residential land and lots — developed, under development, held for development and held for sale |
|
12,585.0 |
|
|
|
10,680.6 |
|
Rental properties |
|
3,070.6 |
|
|
|
2,691.3 |
|
Total inventory |
|
25,536.1 |
|
|
|
22,373.3 |
|
Mortgage loans held for sale |
|
2,578.8 |
|
|
|
2,519.9 |
|
Deferred income taxes, net of valuation allowance of |
|
156.6 |
|
|
|
187.2 |
|
Property and equipment, net |
|
520.9 |
|
|
|
445.4 |
|
Other assets |
|
3,175.5 |
|
|
|
2,993.0 |
|
|
|
163.5 |
|
|
|
163.5 |
|
Total assets |
$ |
35,151.4 |
|
|
$ |
32,582.4 |
|
LIABILITIES |
|
|
|
||||
Accounts payable |
$ |
1,412.7 |
|
|
$ |
1,246.2 |
|
Accrued expenses and other liabilities |
|
2,897.0 |
|
|
|
3,103.8 |
|
Notes payable |
|
5,691.0 |
|
|
|
5,094.5 |
|
Total liabilities |
|
10,000.7 |
|
|
|
9,444.5 |
|
EQUITY |
|
|
|
||||
Common stock, |
|
4.0 |
|
|
|
4.0 |
|
Additional paid-in capital |
|
3,458.9 |
|
|
|
3,432.2 |
|
Retained earnings |
|
26,765.3 |
|
|
|
23,589.8 |
|
|
|
(5,571.7 |
) |
|
|
(4,329.8 |
) |
Stockholders’ equity |
|
24,656.5 |
|
|
|
22,696.2 |
|
Noncontrolling interests |
|
494.2 |
|
|
|
441.7 |
|
Total equity |
|
25,150.7 |
|
|
|
23,137.9 |
|
Total liabilities and equity |
$ |
35,151.4 |
|
|
$ |
32,582.4 |
|
|
|||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||||||||
(UNAUDITED) |
|||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
|
(In millions, except per share data) |
||||||||||||||
Revenues |
$ |
9,965.7 |
|
|
$ |
9,725.6 |
|
|
$ |
26,798.8 |
|
|
$ |
24,956.4 |
|
Cost of sales |
|
7,323.7 |
|
|
|
7,141.8 |
|
|
|
19,817.7 |
|
|
|
18,429.3 |
|
Selling, general and administrative expense |
|
923.6 |
|
|
|
852.1 |
|
|
|
2,639.2 |
|
|
|
2,362.6 |
|
Other (income) expense |
|
(80.6 |
) |
|
|
(52.2 |
) |
|
|
(233.1 |
) |
|
|
(131.9 |
) |
Income before income taxes |
|
1,799.0 |
|
|
|
1,783.9 |
|
|
|
4,575.0 |
|
|
|
4,296.4 |
|
Income tax expense |
|
432.2 |
|
|
|
432.2 |
|
|
|
1,068.8 |
|
|
|
1,026.7 |
|
Net income |
|
1,366.8 |
|
|
|
1,351.7 |
|
|
|
3,506.2 |
|
|
|
3,269.7 |
|
Net income attributable to noncontrolling interests |
|
13.2 |
|
|
|
16.6 |
|
|
|
33.2 |
|
|
|
33.7 |
|
Net income attributable to |
$ |
1,353.6 |
|
|
$ |
1,335.1 |
|
|
$ |
3,473.0 |
|
|
$ |
3,236.0 |
|
|
|
|
|
|
|
|
|
||||||||
Basic net income per common share attributable to D.R.
|
$ |
4.12 |
|
|
$ |
3.93 |
|
|
$ |
10.50 |
|
|
$ |
9.46 |
|
Weighted average number of common shares |
|
328.4 |
|
|
|
339.9 |
|
|
|
330.9 |
|
|
|
342.1 |
|
|
|
|
|
|
|
|
|
||||||||
Diluted net income per common share attributable to D.R.
|
$ |
4.10 |
|
|
$ |
3.90 |
|
|
$ |
10.43 |
|
|
$ |
9.39 |
|
Adjusted weighted average number of common shares |
|
330.1 |
|
|
|
342.3 |
|
|
|
333.0 |
|
|
|
344.7 |
|
|
|
|
|
|
|
|
|
||||||||
Other Consolidated Financial Data |
|
|
|
|
|
|
|
||||||||
Interest charged to cost of sales |
$ |
35.3 |
|
|
$ |
41.3 |
|
|
$ |
96.1 |
|
|
$ |
103.8 |
|
Depreciation and amortization. |
$ |
22.4 |
|
|
$ |
23.7 |
|
|
$ |
63.5 |
|
|
$ |
70.2 |
|
Interest incurred |
$ |
54.5 |
|
|
$ |
57.4 |
|
|
$ |
147.6 |
|
|
$ |
154.2 |
|
|
|||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||||
(UNAUDITED) |
|||||||
|
Nine Months Ended
|
||||||
|
2024 |
|
2023 |
||||
|
(In millions) |
||||||
OPERATING ACTIVITIES |
|
|
|
||||
Net income |
$ |
3,506.2 |
|
|
$ |
3,269.7 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
63.5 |
|
|
|
70.2 |
|
Stock-based compensation expense |
|
92.7 |
|
|
|
80.6 |
|
Deferred income taxes |
|
29.9 |
|
|
|
19.3 |
|
Inventory and land option charges |
|
34.4 |
|
|
|
62.2 |
|
Changes in operating assets and liabilities: |
|
|
|
||||
(Increase) decrease in construction in progress and finished homes |
|
(863.0 |
) |
|
|
576.2 |
|
Increase in residential land and lots –
|
|
(2,012.1 |
) |
|
|
(915.0 |
) |
Increase in rental properties |
|
(375.7 |
) |
|
|
(777.3 |
) |
(Increase) decrease in other assets |
|
(154.4 |
) |
|
|
242.1 |
|
Increase in mortgage loans held for sale |
|
(58.9 |
) |
|
|
(28.4 |
) |
Decrease in accounts payable, accrued expenses and other liabilities |
|
(34.4 |
) |
|
|
(338.5 |
) |
Net cash provided by operating activities |
|
228.2 |
|
|
|
2,261.1 |
|
INVESTING ACTIVITIES |
|
|
|
||||
Expenditures for property and equipment |
|
(133.3 |
) |
|
|
(108.3 |
) |
Proceeds from sale of assets |
|
14.9 |
|
|
|
— |
|
Payments related to business acquisitions, net of cash acquired |
|
(37.9 |
) |
|
|
(202.0 |
) |
Other investing activities |
|
(4.8 |
) |
|
|
1.8 |
|
Net cash used in investing activities |
|
(161.1 |
) |
|
|
(308.5 |
) |
FINANCING ACTIVITIES |
|
|
|
||||
Proceeds from notes payable |
|
1,270.0 |
|
|
|
575.0 |
|
Repayment of notes payable |
|
(640.4 |
) |
|
|
(675.4 |
) |
Borrowings on mortgage repurchase facilities, net |
|
21.8 |
|
|
|
67.3 |
|
Proceeds from stock associated with certain employee benefit plans |
|
12.2 |
|
|
|
18.7 |
|
Cash paid for shares withheld for taxes |
|
(82.9 |
) |
|
|
(55.9 |
) |
Cash dividends paid |
|
(297.5 |
) |
|
|
(256.9 |
) |
Repurchases of common stock |
|
(1,230.3 |
) |
|
|
(759.6 |
) |
Net proceeds from issuance of Forestar common stock |
|
19.7 |
|
|
|
— |
|
Net other financing activities |
|
(19.8 |
) |
|
|
(30.7 |
) |
Net cash used in financing activities |
|
(947.2 |
) |
|
|
(1,117.5 |
) |
Net (decrease) increase in cash, cash equivalents and restricted cash |
|
(880.1 |
) |
|
|
835.1 |
|
Cash, cash equivalents and restricted cash at beginning of period |
|
3,900.1 |
|
|
|
2,572.9 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
3,020.0 |
|
|
$ |
3,408.0 |
|
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES: |
|
|
|
||||
Notes payable issued for inventory |
$ |
43.4 |
|
|
$ |
54.5 |
|
Reduction of notes payable upon deconsolidation of variable interest entity |
$ |
(127.8 |
) |
|
$ |
— |
|
Stock issued under employee incentive plans |
$ |
173.2 |
|
|
$ |
110.8 |
|
Repurchases of common stock not settled |
$ |
1.5 |
|
|
$ |
— |
|
|
||||||||||||||||||||
SEGMENT INFORMATION |
||||||||||||||||||||
(UNAUDITED) |
||||||||||||||||||||
|
|
|||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial Services |
|
Eliminations and Other (1) |
|
Consolidated |
||||||||
|
|
(In millions) |
||||||||||||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and cash equivalents |
|
$ |
2,174.3 |
|
$ |
119.1 |
|
|
$ |
359.2 |
|
$ |
305.7 |
|
$ |
34.0 |
|
|
$ |
2,992.3 |
Restricted cash |
|
|
6.3 |
|
|
2.2 |
|
|
|
— |
|
|
19.2 |
|
|
— |
|
|
|
27.7 |
Inventories: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Construction in progress and finished
|
|
|
10,002.2 |
|
|
— |
|
|
|
— |
|
|
— |
|
|
(121.7 |
) |
|
|
9,880.5 |
Residential land and lots |
|
|
10,502.0 |
|
|
— |
|
|
|
2,238.7 |
|
|
— |
|
|
(155.7 |
) |
|
|
12,585.0 |
Rental properties |
|
|
— |
|
|
3,070.3 |
|
|
|
— |
|
|
— |
|
|
0.3 |
|
|
|
3,070.6 |
|
|
|
20,504.2 |
|
|
3,070.3 |
|
|
|
2,238.7 |
|
|
— |
|
|
(277.1 |
) |
|
|
25,536.1 |
Mortgage loans held for sale |
|
|
— |
|
|
— |
|
|
|
— |
|
|
2,578.8 |
|
|
— |
|
|
|
2,578.8 |
Deferred income taxes, net |
|
|
200.7 |
|
|
(19.9 |
) |
|
|
— |
|
|
— |
|
|
(24.2 |
) |
|
|
156.6 |
Property and equipment, net |
|
|
490.9 |
|
|
1.5 |
|
|
|
6.5 |
|
|
3.8 |
|
|
18.2 |
|
|
|
520.9 |
Other assets |
|
|
2,732.2 |
|
|
71.7 |
|
|
|
70.6 |
|
|
184.9 |
|
|
116.1 |
|
|
|
3,175.5 |
|
|
|
134.3 |
|
|
— |
|
|
|
— |
|
|
— |
|
|
29.2 |
|
|
|
163.5 |
|
|
$ |
26,242.9 |
|
$ |
3,244.9 |
|
|
$ |
2,675.0 |
|
$ |
3,092.4 |
|
$ |
(103.8 |
) |
|
$ |
35,151.4 |
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Accounts payable |
|
$ |
1,134.6 |
|
$ |
314.6 |
|
|
$ |
70.9 |
|
$ |
0.1 |
|
$ |
(107.5 |
) |
|
$ |
1,412.7 |
Accrued expenses and other liabilities |
|
|
2,487.8 |
|
|
66.7 |
|
|
|
385.1 |
|
|
244.1 |
|
|
(286.7 |
) |
|
|
2,897.0 |
Notes payable |
|
|
2,257.8 |
|
|
1,035.7 |
|
|
|
706.1 |
|
|
1,691.4 |
|
|
— |
|
|
|
5,691.0 |
|
|
$ |
5,880.2 |
|
$ |
1,417.0 |
|
|
$ |
1,162.1 |
|
$ |
1,935.6 |
|
$ |
(394.2 |
) |
|
$ |
10,000.7 |
|
|
|
||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial
|
|
Eliminations
|
|
Consolidated |
||||||||
|
|
(In millions) |
||||||||||||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and cash equivalents |
|
$ |
2,920.2 |
|
$ |
136.1 |
|
|
$ |
616.0 |
|
$ |
189.1 |
|
$ |
12.2 |
|
|
$ |
3,873.6 |
Restricted cash |
|
|
6.5 |
|
|
3.3 |
|
|
|
— |
|
|
16.7 |
|
|
— |
|
|
|
26.5 |
Inventories: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Construction in progress and finished homes |
|
|
9,134.3 |
|
|
— |
|
|
|
— |
|
|
— |
|
|
(132.9 |
) |
|
|
9,001.4 |
Residential land and lots |
|
|
9,021.5 |
|
|
— |
|
|
|
1,790.3 |
|
|
— |
|
|
(131.2 |
) |
|
|
10,680.6 |
Rental properties |
|
|
— |
|
|
2,708.4 |
|
|
|
— |
|
|
— |
|
|
(17.1 |
) |
|
|
2,691.3 |
|
|
|
18,155.8 |
|
|
2,708.4 |
|
|
|
1,790.3 |
|
|
— |
|
|
(281.2 |
) |
|
|
22,373.3 |
Mortgage loans held for sale |
|
|
— |
|
|
— |
|
|
|
— |
|
|
2,519.9 |
|
|
— |
|
|
|
2,519.9 |
Deferred income taxes, net |
|
|
229.8 |
|
|
(19.9 |
) |
|
|
— |
|
|
— |
|
|
(22.7 |
) |
|
|
187.2 |
Property and equipment, net |
|
|
415.0 |
|
|
2.4 |
|
|
|
5.9 |
|
|
4.1 |
|
|
18.0 |
|
|
|
445.4 |
Other assets |
|
|
2,838.5 |
|
|
29.8 |
|
|
|
58.5 |
|
|
250.3 |
|
|
(184.1 |
) |
|
|
2,993.0 |
|
|
|
134.3 |
|
|
— |
|
|
|
— |
|
|
— |
|
|
29.2 |
|
|
|
163.5 |
|
|
$ |
24,700.1 |
|
$ |
2,860.1 |
|
|
$ |
2,470.7 |
|
$ |
2,980.1 |
|
$ |
(428.6 |
) |
|
$ |
32,582.4 |
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Accounts payable |
|
$ |
1,033.7 |
|
$ |
698.6 |
|
|
$ |
68.4 |
|
$ |
0.1 |
|
$ |
(554.6 |
) |
|
$ |
1,246.2 |
Accrued expenses and other liabilities |
|
|
2,585.5 |
|
|
43.2 |
|
|
|
337.4 |
|
|
280.4 |
|
|
(142.7 |
) |
|
|
3,103.8 |
Notes payable |
|
|
2,329.9 |
|
|
400.0 |
|
|
|
695.0 |
|
|
1,669.6 |
|
|
— |
|
|
|
5,094.5 |
|
|
$ |
5,949.1 |
|
$ |
1,141.8 |
|
|
$ |
1,100.8 |
|
$ |
1,950.1 |
|
$ |
(697.3 |
) |
|
$ |
9,444.5 |
_________________
(1) |
Amounts include the balances of the Company’s other businesses and the elimination of intercompany transactions. |
|
||||||||||||||||||||||||
SEGMENT INFORMATION |
||||||||||||||||||||||||
(UNAUDITED) |
||||||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial Services |
|
Eliminations and Other (1) |
|
Consolidated |
||||||||||||
|
|
(In millions) |
||||||||||||||||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales |
|
$ |
9,231.2 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
9,231.2 |
|
Land/lot sales and other |
|
|
10.3 |
|
|
|
— |
|
|
|
318.4 |
|
|
|
— |
|
|
|
(250.2 |
) |
|
|
78.5 |
|
Rental property sales |
|
|
— |
|
|
|
413.7 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
413.7 |
|
Financial services |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
242.3 |
|
|
|
— |
|
|
|
242.3 |
|
|
|
|
9,241.5 |
|
|
|
413.7 |
|
|
|
318.4 |
|
|
|
242.3 |
|
|
|
(250.2 |
) |
|
|
9,965.7 |
|
Cost of sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales (2) |
|
|
7,017.3 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(72.5 |
) |
|
|
6,944.8 |
|
Land/lot sales and other |
|
|
5.6 |
|
|
|
— |
|
|
|
246.2 |
|
|
|
— |
|
|
|
(201.1 |
) |
|
|
50.7 |
|
Rental property sales |
|
|
— |
|
|
|
319.3 |
|
|
|
— |
|
|
|
— |
|
|
|
(5.9 |
) |
|
|
313.4 |
|
Inventory and land option charges |
|
|
12.6 |
|
|
|
1.5 |
|
|
|
0.7 |
|
|
|
— |
|
|
|
— |
|
|
|
14.8 |
|
|
|
|
7,035.5 |
|
|
|
320.8 |
|
|
|
246.9 |
|
|
|
— |
|
|
|
(279.5 |
) |
|
|
7,323.7 |
|
Selling, general and administrative expense |
|
|
656.5 |
|
|
|
55.0 |
|
|
|
29.3 |
|
|
|
178.0 |
|
|
|
4.8 |
|
|
|
923.6 |
|
Other (income) expense |
|
|
(22.7 |
) |
|
|
(26.3 |
) |
|
|
(9.4 |
) |
|
|
(27.0 |
) |
|
|
4.8 |
|
|
|
(80.6 |
) |
Income before income taxes |
|
$ |
1,572.2 |
|
|
$ |
64.2 |
|
|
$ |
51.6 |
|
|
$ |
91.3 |
|
|
$ |
19.7 |
|
|
$ |
1,799.0 |
|
|
|
Nine Months Ended |
||||||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial Services |
|
Eliminations and Other (1) |
|
Consolidated |
||||||||||||
|
|
(In millions) |
||||||||||||||||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales |
|
$ |
24,974.2 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
24,974.2 |
|
Land/lot sales and other |
|
|
37.6 |
|
|
|
— |
|
|
|
958.0 |
|
|
|
— |
|
|
|
(811.7 |
) |
|
|
183.9 |
|
Rental property sales |
|
|
— |
|
|
|
980.2 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
980.2 |
|
Financial services |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
660.5 |
|
|
|
— |
|
|
|
660.5 |
|
|
|
|
25,011.8 |
|
|
|
980.2 |
|
|
|
958.0 |
|
|
|
660.5 |
|
|
|
(811.7 |
) |
|
|
26,798.8 |
|
Cost of sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales (2) |
|
|
19,130.8 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(195.0 |
) |
|
|
18,935.8 |
|
Land/lot sales and other |
|
|
23.0 |
|
|
|
— |
|
|
|
729.6 |
|
|
|
— |
|
|
|
(657.8 |
) |
|
|
94.8 |
|
Rental property sales |
|
|
— |
|
|
|
763.4 |
|
|
|
— |
|
|
|
— |
|
|
|
(10.7 |
) |
|
|
752.7 |
|
Inventory and land option charges |
|
|
31.2 |
|
|
|
2.2 |
|
|
|
1.0 |
|
|
|
— |
|
|
|
— |
|
|
|
34.4 |
|
|
|
|
19,185.0 |
|
|
|
765.6 |
|
|
|
730.6 |
|
|
|
— |
|
|
|
(863.5 |
) |
|
|
19,817.7 |
|
Selling, general and administrative expense |
|
|
1,874.1 |
|
|
|
163.8 |
|
|
|
86.5 |
|
|
|
500.6 |
|
|
|
14.2 |
|
|
|
2,639.2 |
|
Other (income) expense |
|
|
(73.2 |
) |
|
|
(78.0 |
) |
|
|
(20.7 |
) |
|
|
(75.4 |
) |
|
|
14.2 |
|
|
|
(233.1 |
) |
Income before income taxes |
|
$ |
4,025.9 |
|
|
$ |
128.8 |
|
|
$ |
161.6 |
|
|
$ |
235.3 |
|
|
$ |
23.4 |
|
|
$ |
4,575.0 |
|
Summary Cash Flow Information |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Cash provided by (used in) operating
|
|
$ |
971.9 |
|
|
$ |
(656.8 |
) |
|
$ |
(277.6 |
) |
|
$ |
156.9 |
|
|
$ |
33.8 |
|
|
$ |
228.2 |
|
_____________________
(1) |
Amounts include the results of the Company's other businesses and the elimination of intercompany transactions. |
(2) |
Amount in the Eliminations and Other column represents the recognition of profit on lots sold from Forestar to the homebuilding segment. Intercompany profit is eliminated in the consolidated financial statements when Forestar sells lots to the homebuilding segment and is recognized in the consolidated financial statements when the homebuilding segment closes homes on the lots to homebuyers. |
|
||||||||||||||||||||||||
SEGMENT INFORMATION |
||||||||||||||||||||||||
(UNAUDITED) |
||||||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial Services |
|
Eliminations and Other (1) |
|
Consolidated |
||||||||||||
|
|
(In millions) |
||||||||||||||||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales |
|
$ |
8,703.1 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
8,703.1 |
|
Land/lot sales and other |
|
|
30.5 |
|
|
|
— |
|
|
|
368.9 |
|
|
|
— |
|
|
|
(272.5 |
) |
|
|
126.9 |
|
Rental property sales |
|
|
— |
|
|
|
667.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
667.1 |
|
Financial services |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
228.5 |
|
|
|
— |
|
|
|
228.5 |
|
|
|
|
8,733.6 |
|
|
|
667.1 |
|
|
|
368.9 |
|
|
|
228.5 |
|
|
|
(272.5 |
) |
|
|
9,725.6 |
|
Cost of sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales (2) |
|
|
6,675.6 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(69.6 |
) |
|
|
6,606.0 |
|
Land/lot sales and other |
|
|
26.1 |
|
|
|
— |
|
|
|
283.0 |
|
|
|
— |
|
|
|
(238.2 |
) |
|
|
70.9 |
|
Rental property sales |
|
|
— |
|
|
|
458.0 |
|
|
|
— |
|
|
|
— |
|
|
|
(3.9 |
) |
|
|
454.1 |
|
Inventory and land option charges |
|
|
9.0 |
|
|
|
0.9 |
|
|
|
0.9 |
|
|
|
— |
|
|
|
— |
|
|
|
10.8 |
|
|
|
|
6,710.7 |
|
|
|
458.9 |
|
|
|
283.9 |
|
|
|
— |
|
|
|
(311.7 |
) |
|
|
7,141.8 |
|
Selling, general and administrative expense |
|
|
584.9 |
|
|
|
80.0 |
|
|
|
26.4 |
|
|
|
154.7 |
|
|
|
6.1 |
|
|
|
852.1 |
|
Other (income) expense |
|
|
(26.4 |
) |
|
|
(33.9 |
) |
|
|
(3.8 |
) |
|
|
(20.3 |
) |
|
|
32.2 |
|
|
|
(52.2 |
) |
Income before income taxes |
|
$ |
1,464.4 |
|
|
$ |
162.1 |
|
|
$ |
62.4 |
|
|
$ |
94.1 |
|
|
$ |
0.9 |
|
|
$ |
1,783.9 |
|
|
|
Nine Months Ended |
||||||||||||||||||||||
|
|
Homebuilding |
|
Rental |
|
Forestar |
|
Financial Services |
|
Eliminations and Other (1) |
|
Consolidated |
||||||||||||
|
|
(In millions) |
||||||||||||||||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales |
|
$ |
22,862.0 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
22,862.0 |
|
Land/lot sales and other |
|
|
85.2 |
|
|
|
— |
|
|
|
887.1 |
|
|
|
— |
|
|
|
(678.5 |
) |
|
|
293.8 |
|
Rental property sales |
|
|
— |
|
|
|
1,218.6 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,218.6 |
|
Financial services |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
582.0 |
|
|
|
— |
|
|
|
582.0 |
|
|
|
|
22,947.2 |
|
|
|
1,218.6 |
|
|
|
887.1 |
|
|
|
582.0 |
|
|
|
(678.5 |
) |
|
|
24,956.4 |
|
Cost of sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home sales (2) |
|
|
17,625.3 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(180.4 |
) |
|
|
17,444.9 |
|
Land/lot sales and other |
|
|
44.4 |
|
|
|
— |
|
|
|
675.1 |
|
|
|
— |
|
|
|
(590.1 |
) |
|
|
129.4 |
|
Rental property sales |
|
|
— |
|
|
|
799.2 |
|
|
|
— |
|
|
|
— |
|
|
|
(6.4 |
) |
|
|
792.8 |
|
Inventory and land option charges |
|
|
47.4 |
|
|
|
2.3 |
|
|
|
23.6 |
|
|
|
— |
|
|
|
(11.1 |
) |
|
|
62.2 |
|
|
|
|
17,717.1 |
|
|
|
801.5 |
|
|
|
698.7 |
|
|
|
— |
|
|
|
(788.0 |
) |
|
|
18,429.3 |
|
Selling, general and administrative expense |
|
|
1,657.5 |
|
|
|
181.0 |
|
|
|
71.3 |
|
|
|
435.7 |
|
|
|
17.1 |
|
|
|
2,362.6 |
|
Other (income) expense |
|
|
(54.1 |
) |
|
|
(70.9 |
) |
|
|
(9.1 |
) |
|
|
(51.6 |
) |
|
|
53.8 |
|
|
|
(131.9 |
) |
Income before income taxes |
|
$ |
3,626.7 |
|
|
$ |
307.0 |
|
|
$ |
126.2 |
|
|
$ |
197.9 |
|
|
$ |
38.6 |
|
|
$ |
4,296.4 |
|
Summary Cash Flow Information |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Cash provided by (used in) operating
|
|
$ |
2,133.1 |
|
|
$ |
(78.1 |
) |
|
$ |
136.1 |
|
|
$ |
13.9 |
|
|
$ |
56.1 |
|
|
$ |
2,261.1 |
|
_____________________
(1) |
Amounts include the results of the Company's other businesses and the elimination of intercompany transactions. |
(2) |
Amount in the Eliminations and Other column represents the recognition of profit on lots sold from Forestar to the homebuilding segment. Intercompany profit is eliminated in the consolidated financial statements when Forestar sells lots to the homebuilding segment and is recognized in the consolidated financial statements when the homebuilding segment closes homes on the lots to homebuyers. |
|
||||||||||||||||||||
SALES, CLOSINGS AND BACKLOG |
||||||||||||||||||||
HOMEBUILDING SEGMENT |
||||||||||||||||||||
(Dollars in millions) |
||||||||||||||||||||
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||||
|
|
Homes |
|
Value |
|
Homes |
|
Value |
|
Homes |
|
Value |
|
Homes |
|
Value |
||||
Northwest |
|
1,458 |
|
$ |
729.5 |
|
1,208 |
|
$ |
647.2 |
|
4,254 |
|
$ |
2,158.4 |
|
3,491 |
|
$ |
1,831.0 |
Southwest |
|
2,488 |
|
|
1,215.3 |
|
2,815 |
|
|
1,345.6 |
|
7,719 |
|
|
3,762.5 |
|
6,064 |
|
|
2,879.8 |
South Central |
|
5,880 |
|
|
1,917.8 |
|
6,078 |
|
|
2,029.6 |
|
17,733 |
|
|
5,759.6 |
|
15,905 |
|
|
5,145.2 |
Southeast |
|
6,089 |
|
|
2,165.1 |
|
6,021 |
|
|
2,182.9 |
|
17,875 |
|
|
6,360.1 |
|
16,617 |
|
|
5,972.9 |
East |
|
4,546 |
|
|
1,614.6 |
|
4,547 |
|
|
1,615.0 |
|
12,825 |
|
|
4,574.9 |
|
11,342 |
|
|
4,031.3 |
North |
|
2,540 |
|
|
1,073.4 |
|
2,210 |
|
|
899.7 |
|
7,120 |
|
|
2,952.9 |
|
5,984 |
|
|
2,413.0 |
|
|
23,001 |
|
$ |
8,715.7 |
|
22,879 |
|
$ |
8,720.0 |
|
67,526 |
|
$ |
25,568.4 |
|
59,403 |
|
$ |
22,273.2 |
HOMES CLOSED |
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||||
|
|
Homes |
|
Value |
|
Homes |
|
Value |
|
Homes |
|
Value |
|
Homes |
|
Value |
||||
Northwest |
|
1,427 |
|
$ |
720.7 |
|
1,209 |
|
$ |
653.6 |
|
4,037 |
|
$ |
2,034.3 |
|
3,471 |
|
$ |
1,864.4 |
Southwest |
|
2,673 |
|
|
1,313.7 |
|
2,316 |
|
|
1,120.1 |
|
7,556 |
|
|
3,647.8 |
|
5,896 |
|
|
2,828.2 |
South Central |
|
6,104 |
|
|
2,009.0 |
|
6,477 |
|
|
2,169.7 |
|
17,323 |
|
|
5,631.4 |
|
16,893 |
|
|
5,609.9 |
Southeast |
|
6,669 |
|
|
2,415.9 |
|
6,616 |
|
|
2,384.0 |
|
18,281 |
|
|
6,591.3 |
|
17,654 |
|
|
6,483.1 |
East |
|
4,748 |
|
|
1,709.0 |
|
4,102 |
|
|
1,464.2 |
|
12,389 |
|
|
4,418.1 |
|
10,469 |
|
|
3,814.0 |
North |
|
2,534 |
|
|
1,062.9 |
|
2,265 |
|
|
911.5 |
|
6,457 |
|
|
2,651.3 |
|
5,606 |
|
|
2,262.4 |
|
|
24,155 |
|
$ |
9,231.2 |
|
22,985 |
|
$ |
8,703.1 |
|
66,043 |
|
$ |
24,974.2 |
|
59,989 |
|
$ |
22,862.0 |
SALES ORDER BACKLOG |
||||||||||
|
|
|
|
|
|
|
|
|
||
|
|
As of |
||||||||
|
|
2024 |
|
2023 |
||||||
|
|
Homes |
|
Value |
|
Homes |
|
Value |
||
Northwest |
|
764 |
|
$ |
402.2 |
|
744 |
|
$ |
393.7 |
Southwest |
|
1,570 |
|
|
795.9 |
|
1,928 |
|
|
956.5 |
South Central |
|
4,037 |
|
|
1,354.8 |
|
4,807 |
|
|
1,617.6 |
Southeast |
|
4,410 |
|
|
1,642.4 |
|
6,001 |
|
|
2,308.0 |
East |
|
3,817 |
|
|
1,409.2 |
|
3,959 |
|
|
1,432.2 |
North |
|
2,194 |
|
|
949.5 |
|
1,747 |
|
|
739.7 |
|
|
16,792 |
|
$ |
6,554.0 |
|
19,186 |
|
$ |
7,447.7 |
|
|||||||||||
LAND AND LOT POSITION AND HOMES IN INVENTORY |
|||||||||||
HOMEBUILDING SEGMENT |
|||||||||||
LAND AND LOT POSITION |
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Land/Lots O wned |
|
Lots Controlled T hrough L and and Lot P urchase C ontracts (1) |
|
Total L and/Lots O wned and Controlled |
|
Land/Lots Owned |
|
Lots Controlled Through Land and Lot Purchase Contracts (1) |
|
Total Land/Lots Owned and Controlled |
Northwest |
13,100 |
|
19,300 |
|
32,400 |
|
14,100 |
|
20,300 |
|
34,400 |
Southwest |
22,600 |
|
27,000 |
|
49,600 |
|
22,600 |
|
30,500 |
|
53,100 |
South Central |
38,100 |
|
108,400 |
|
146,500 |
|
36,700 |
|
69,500 |
|
106,200 |
Southeast |
28,600 |
|
139,000 |
|
167,600 |
|
24,700 |
|
132,900 |
|
157,600 |
East |
31,900 |
|
128,900 |
|
160,800 |
|
27,700 |
|
118,400 |
|
146,100 |
North |
16,600 |
|
56,700 |
|
73,300 |
|
15,300 |
|
55,700 |
|
71,000 |
|
150,900 |
|
479,300 |
|
630,200 |
|
141,100 |
|
427,300 |
|
568,400 |
|
24% |
|
76% |
|
100% |
|
25% |
|
75% |
|
100% |
_____________
(1) |
Lots controlled at |
HOMES IN INVENTORY (1) |
||||
|
|
|
|
|
|
|
|
|
|
Northwest |
|
2,500 |
|
2,800 |
Southwest |
|
4,500 |
|
4,700 |
South Central |
|
10,700 |
|
10,800 |
Southeast |
|
11,500 |
|
12,100 |
East |
|
8,300 |
|
7,100 |
North |
|
5,100 |
|
4,500 |
|
|
42,600 |
|
42,000 |
_____________
(1) |
Homes in inventory exclude model homes and homes related to our rental operations. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240718346572/en/
Senior Vice President - Communications
InvestorRelations@drhorton.com
Source: